A Wyndham property owner owes the council more than half a million dollars in unpaid rates.
The owner is the ‘leader’ among ratepayer-debtors amid data showing that, as of June 30, the council was chasing about $14 million in unpaid municipal dues – $3 million more than this time last year.
Chief executive Kerry Thompson said 9177 properties had outstanding rates for the 2014-15 financial year.
She said the rates deficit of $13,914,796 included properties that had not paid their rates in the years prior to the last financial year.
“This figure relates to properties with outstanding balances of $100 or more and includes the fire services property levy, as well as partial and full outstanding rates balances,” Ms Thompson said.
The largest overdue amount is $501, 607.
Ms Thompson said the council followed a standard process to collect unpaid rates.
“Arrears notices are sent for amounts outstanding and generally there are at least six separate requests for payment or requests for making contact with the council, prior to legal action starting,” she said. “Where no contact is received from a property owner, the council pursues … through the magistrates’ court.”
Western Community Legal Centre manager Denis Nelthorpe said home owners with overdue rates were usually also experiencing mortgage stress. He urged the council to develop a “more sophisticated” way of pursuing rate arrears, adding that taking home owners to court was not always the best course of action.
“It’s one of the most stressful ways of trying to obtain a payment plan,” he said.
“They need to come up with a more sophisticated response to home owners who are experiencing mortgage stress. Councils that have much more effective mechanisms [employ] people with the specific purpose of dealing with ratepayers in arrears.”
